(RTTNews) - Yumanity Therapeutics, Inc. (YMTX) said on Monday that it has inked a deal to sell its clinical-stage product candidate YTX-7739 as well as its unpartnered discovery-stage neuroscience product candidates and targets to Janssen Pharmaceutica NV for $26 million in cash.
Yumanity also plans to distribute any remaining available cash proceeds from the sale of its product candidates to its stockholders through a one-time dividend.
In addition, according to another agreement, Kineta, Inc., a private immuno-oncology company, will merge with Yumanity in an all-stock transaction which will allow Kineta to become a unit of Yumanity, forming a combined publicly traded company re-named Kineta, Inc.
Following the completion of the proposed merger, current Kineta stockholders are expected to own around 85 percent of the combined firm and current Yumanity stockholders are anticipated to get approximately 15 percent of the combined company.
Shawn Iadonato, CEO of Kineta said: "…The proposed merger with Yumanity is a unique opportunity for Kineta to build a leading public immuno-oncology focused company with a diversified pipeline of new treatments for cancer patients."
The two transactions are expected to be closed in the second half.
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